E.ON Sells Central Networks Electricity Distribution Business To PPL Corporation
PPL Corporation is to buy Central Networks, E.ON’s UK electricity power distribution business.
E.ON has agreed to sell Central Networks to PPL Corporation for £4billion. PPL Corporation is based in Allentown, Pennsylvania and in a press release E.ON says it has found in PPL “an experienced and professional partner which is committed to the long term future of Central Networks”.
The deal is expected to be completed by the beginning of April after E.ON’s supervisory board approved the deal.
Utility Exchange reported back in November that E.ON was looking to sell off Central Networks which is the second biggest electricity distributor in the UK. Central Networks operates the regional grid which covers the Midlands region of the UK and delivers power to over five million homes and businesses.
E.ON bought Central Networks East in 2002 when it took over Powergen and then when E.ON bought Midlands Electricity in 2004 the business was re-branded as Central Networks.
The chief executive of E.ON UK, Paul Golby said “PPL is an excellent partner for Central Networks. They share our goal of providing a safe and reliable service for our customers and our communities. I want to take this opportunity to thank everyone at Central Networks for the excellent work they have done as part of E.ON and as we look to finalize the transaction, we will work closely with PPL, our trades unions and representatives to set a successful course for the future of the combined company and its employees”.